MN Legislature Passes Extension of Healthcare Safety Net for Poor, Governor Will Veto

[This article posted on February 19, 2010. It is posted within the following categories: CMS, Politics & The Law, via Michael Douglas, MD, MBA.]

Minnesota Governor Tim Pawlenty is making good on his executive powers to slash the state’s budgetary expenditures the only way he knows how — via veto. Almost on cue, the state’s chief executive promised to do so in a letter [PDF], explaining that Minnesota simply cannot afford the almost $300M pricetag for a stopgap program designed to be a healthcare safety net to its working poor, the chemically dependent, the mentally ill, and homeless.[1]

Amid dwindling hopes of a Medicaid expansion of funds, Democratic legislators passed the measure by large margins in both House and Senate to extend the state’s GAMC payer program for another 16 weeks. The governor’s veto underscores his support for the alternative — enrollment of GAMC beneficiaries into another finitely-funded state program, MinnesotaCare. This program has come under fire by Pawlenty’s critics as being a worse choice for public healthcare financing of this patient population, because costs to cover this high-risk demo will essentially cost the state more (since funds are not from the state’s general fund but from the more restrictive Health Care Access Fund).

GAMC beneficiaries who transition to MinnesotaCare under the governor’s proposal will have to renew membership with the new payer when the transition period ends, increasing the possibility of the loss of coverage — only postponing the pending crisis to access to care, according to Democrats. An interesting time for a bill whose language stirs passions equally among ideological camps in Minnesota, and one that appears achievable — at least for another 16 weeks. | LINK

  1. In spite of a veto, the MN Senate has enough votes on the Dem side to override, creating a cushion. []

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